Veterans' Travel Reimbursement Increased 50% to Ease Fuel Cost Burdens

Increased support is being provided to help ease fuel cost pressures for veterans needing to travel for treatment, Veterans Minister Chris Penk says.

Global fuel price volatility has hit household budgets, and the Government is looking closely at where these costs are having the greatest impact, particularly for Kiwis with limited transport alternatives, Mr Penk says.

Kiwis who have served our nation bravely, often at great personal sacrifice, should not be discouraged from accessing essential care during this period of elevated fuel prices.

In response, Veterans’ Affairs has increased private vehicle mileage reimbursement rates for eligible treatment-related travel by 50 percent.

This is a targeted, temporary increase to ensure veterans who receive support from Veterans’ Affairs can continue to attend treatment, rehabilitation, and medical assessments for their accepted conditions while fuel costs remain high.

The new rates will be: For veterans travelling under 200kms for a round trip in a private vehicle, the reimbursement rate will increase from 62 cents per kilometre to 91 cents per kilometre.

For veterans travelling more than 200kms in a private vehicle, the reimbursement rate will increase from 27 cents per kilometre to 41 cents per kilometre.

Where travel for treatment occurs by other means, full reimbursement will continue to be provided, Mr Penk says.

This temporary adjustment is expected to remain in place until the price of 91 octane petrol drops below $3 a litre for four consecutive weeks and will be kept under continual review by Veterans’ Affairs, allowing the agency to monitor its impact and reassess settings as fuel prices change.   The increase is being funded from within Veterans’ Affairs existing budget and is expected to have a negligible fiscal impact.

We cannot control the effect of global conflicts on oil markets, but we can make sensible decisions to ease pressure on those who need support most, including the Kiwis who served in defence of our nation, our interests, and our way of life.